David Sylvain

Posts Tagged 'roots boutique'

Stock Market Analysis: 06/16/10

That version is pictured below, and would comprise an advance above 1800 in the SP 500 over a period of about 6 weeks. As Paul Krugman of The New York Times pointed out relatively early in the crisis, the yield on Treasury bonds is so low (see the chart above) that unique boutique s are an attractive option – even in the midst of a recession caused by a once-in-a-generation pandemic. After you have the list you can use free sites like MSN money, or Yahoo Finance, or Finviz to research the stock further and create 4 to 5 stocks prospect list. Buy the Dip – Below is a list of stocks I would be buying on any strong pullback. He pointed to voracious buying of Tesla, which is still up fivefold this year. This stock has been in a strong uptrend from March 2020 and this year overall has fared well for the stock. Look at fii – they are long in futures- Calls- stock futures and hedged through index put long.

 

Resistance is located at $40, pullbacks below $35 are a buy. Here is a longer term chart of the 10-year Treasury yield, which shows that the 10-year yield is now testing both an important downtrend line and a Fibonacci resistance level. The bottom panel also shows the low and negative correlation of industrial commodity prices to the USD. Given the negative return/risk estimates we observed in April and early-May, I believed that this series of oscillations was ending several months ago. Given that overnight rates have never been zero deep in a U.S. My concern is that investors may draw on this decision as evidence that the Federal Open Market Committee (FOMC) has placed some sort of “safety net” below the market, and that the surprising extension of its current policies could spark a short-term speculative “blowoff.” Given the relatively depressed level of implied volatility (which affects the cost of index option premiums), combined with some potential for the Fed decision to provoke a steep, if short-lived speculative response, we added a very small position in out-of-the-money index call options in Strategic Growth Fund late last week.